Tight rein: Keep an eye on finances at all times

Try to set a realistic budget, make achievable forecasts and above all keep a tight rein on finances. Do not be afraid of seeking help if you need it.

Take a look at our sample budget and you'll soon see that the devil is in the detail.

An apparently simple order can throw up a string of additional cost points – such as hiring a performer from abroad for the entertainment. Fine, provided you can collar somebody and ask about income tax abroad. And don't forget to register with the German Artists' Social Security Insurance Scheme (KSK) if you hire a German performer. Even if you just want to play CDs, there is more involved than merely hiring the appropriate sound system. The Society for Musical Performing and Mechanical Reproduction Rights (GEMA) still has to be paid. You can see that it is worthwhile getting tax accountants involved in the budgeting from time to time (and don't forget to include their fees).

Also bear in mind the timing of outgoing and incoming payments. Although it may work out that some interest is earned – it is also entirely possible that you will have to pay off a bridging loan. For example, initial advertising costs have to be paid long before delegate fees are received, and downpayments on rentals fall due before sub-exhibitors have paid.

We also recommend analysing past events to see where there may be potential cost savings and also asking your purchasing and travel departments if there are any master agreements hidden away in a drawer that could save you money.